24 August 2017

60% of people don’t believe that they would be able to get a mortgage.

A recent survey
from Masthaven Bank has revealed that over 60% of people don’t believe that
they would be able to get a mortgage. On top of that, some 50% of current
homeowners surveyed feel that they would also struggle to get a mortgage. This
leads Masthaven to believe that large numbers feel like mortgage prisoners.
Masthaven’s ‘Game of Loans’ report comprised of two surveys of over 2,000 UK
adults, in January and July 2017. It found that almost two thirds of people
polled believe that getting a mortgage is about ‘box ticking’ and does not take
into account the reality of someone’s situation. Age is also a contentious
issue with nearly three in four (74%) people surveyed saying they feel that
meeting repayment criteria should determine mortgage eligibility, not age.
Moreover, three in five (60%) of those surveyed believes that everyone who can
afford the repayments when they retire should be eligible for a mortgage.

This is a consistency across the market. With so much negativity in the media,
it is not surprising that many people think they have no options. But this
couldn’t be further from the truth. There are more lenders and products
available now than there has been for some time. Therefore, more options and
choice for customers that may not have been eligible for a mortgage in previous
times. This often does not include high street lenders though. These lenders
could include a small building society located in a small village anywhere in
the UK. Having access to a whole of market mortgage broker is the only way
you’ll gain access to such a possibility.

In addition, and specifically aimed at those over age 55, Shawbrook Bank have
recently launched a mortgage lending in to later life. Allowing interest only,
this product assists clients in keeping their savings in place for longer,
enables them to stay in their cherished home for up to an additional fifteen
years and could allow them to raise additional funds, where affordability
allows. Customers can also overpay the mortgage and there are no early
repayment charges.